One of the reasons why you need to work with a real estate attorney during the process of buying or selling property is because it is a legal process. That means there are legal consequences for any decision made throughout the process. You need to work with professionals who are diligent enough to do their homework so that you don’t end up in trouble.
Once you identify property you would want to purchase, you need to ensure that the property is free from legal obligations. You can do this through a title search. The following post explains what this entails:
What Is A Title Search?
The title company performs a “title search” by searching the land records in the county or city where the property is located. The title company will examine the records to first determine the name(s) of the property owner(s). The title search also exposes any mortgages, liens, unpaid taxes, or judgments that affect the property. Finally, the title search reveals restrictions, covenants, easements and any leases affecting the property. Read more at Tandem Title…
Basically, a proper title search should reveal any “secrets” attached to the property. This should help prevent you from getting into unwanted complications.
It is advisable to go a step further and get title insurance for your property before purchasing it. In case you are buying a home, is it necessary to do this? The following post expounds on this:
Buying a Home: Do You Need Title Insurance?
When trying to buy a home, you will probably have to decide if you want to buy title insurance. This type of policy is not the same as homeowners insurance or private mortgage insurance. If you don’t know how title insurance works or whether it’s right for you, here’s what you need to know.
What Is Title Insurance?
Before you can close on a home, the closing attorneys should do a title search. A title search makes sure there aren’t any existing liens or zoning restrictions on the property. This involves looking at deed, tax and court records to verify ownership history. Title insurance is a special type of indemnity policy. It protects your financial interests just in case there’s a defect with the property’s title. Read more at Smart Asset…
Doing a title search is a wise move, but you need to go a step further and get title insurance. This will cover any possible issues that may arise from the property that may not have been captured during the search. The best part is that you only pay once for it.
Wondering how it all works? The following post discusses the issues that may arise from a faulty title search:
What If A Title Search Misses a Lien?
I refinanced my house and an existing lien was not discovered
Now the important question: Is it a valid lien, or has it really been paid, and just not released of record? If it has been paid, you don’t owe money simply because the lien release on your property was not properly recorded. If you can prove it was paid off, either by yourself or a previous owner, you’re out of the woods.
Since you are asking the question, however, I’m going to assume that it is a valid lien. Most are. You owe the money. It doesn’t magically go away simply because the title company (or lawyer doing the title search) missed it.
Now, assuming you live in a title insurance state, it should make no difference to the state of your mortgage. You bought a lender’s policy of title insurance as part of your transaction, and the title policy insures the lender from loss due to the extra lien. Read more at Searchlight Crusade…
Buying real estate property, whether it is a home or not, can get quite complicated if it is not handled properly. That’s why you need to work with a real estate attorney who is committed to delivering the best results. You do need the trouble of devastating legal battles that are avoidable.
If you are looking for an experienced real estate closing attorney, contact Jonathan Meek of Meek Law Firm South for expert services. Call 704-800-5901 or use the contact form on the website to get in touch.